A letter of intent to affiliate Medford, Ore.-based Asante and Ashland (Ore.) Community Hospital was unanimously approved by the Ashland City Council last night, paving the way for a planned merger, according to a report by the Ashland Daily Tidings.
Some details of the merger were released last week, including commitments from Asante to invest $10 million in capital improvements, operate Ashland as a general hospital for 15 years or face up to $8 million in fines, and attempt to employ existing Ashland staff either at the hospital or other facilities in the Asante network.
A definitive agreement is expected within two to three months, in which the city of Ashland will transfer ownership of the ACH property onto Asante, which will also acquire the hospitals debt and pension obligations, according to the report. ACH would be the third hospital in the Asante system.
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Some details of the merger were released last week, including commitments from Asante to invest $10 million in capital improvements, operate Ashland as a general hospital for 15 years or face up to $8 million in fines, and attempt to employ existing Ashland staff either at the hospital or other facilities in the Asante network.
A definitive agreement is expected within two to three months, in which the city of Ashland will transfer ownership of the ACH property onto Asante, which will also acquire the hospitals debt and pension obligations, according to the report. ACH would be the third hospital in the Asante system.
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